Big time low ball!

Discussion in 'General Industry Discussions' started by Trinity Lawn Care LLC, Mar 25, 2006.

  1. topsites

    topsites LawnSite Fanatic
    Posts: 21,653

    That's no lie, although it is possible he's got connections concerning mulch, even then 10 yards of mulch would be hardly worth it at 200 dollars (nevermind all the extra stuff). It doesn't even matter whether he's licensed (and here in va insurance is not required so this is a moot point), fact is he's barely covering his cost, working for minimum wage.

    For example... Here where I live we can get free mulch from the County, but let me warn you, it is a quality so low I wouldn't use it for my own house (being that my prop takes the backseat all the time), it's really bad, sticks and branches and rocks and even some household trash mixed in - you get what you pay for. Of course, you not only have to pick it up but you have to load it yourself.

    The next cheapest I can get is a shredded fiber, very nice just not premium hardwood (but it looks good, very uniform, use it all the time). $12.60 / yard picked up (they load it for you). At this rate, it's 126 dollars just for the mulch.

    Can this guy get a decent quality mulch for free?
    That's the only way he can make a profit at all (and even then it's right down to the wire).

    I think he's either new or desperate, and also it is possible he's high (or a combination). At this rate, he not only won't last long, but it's just as possible he does a crappy job or better yet, never shows up.
  2. garth1967

    garth1967 LawnSite Senior Member
    Posts: 640

    this guy cant possibly stay in business
  3. yrdandgardenhandyman

    yrdandgardenhandyman LawnSite Senior Member
    from midwest
    Posts: 953

    Where do you get this? It's just stupid to run without license and insurance. If they're dumb enough to run without ins, what makes you think they're smart enough to avoid the high risk jobs?:hammerhead:
  4. Trinity Lawn Care  LLC

    Trinity Lawn Care LLC LawnSite Senior Member
    from NJ
    Posts: 946

    Around here in NJ pretty much anything other than plain old grass cutting requires you to be registered with the state (Home Improvement Contractor Lic. Dept. Consumer Affairs). If you are not and have not submitted your application prior to Dec. 31st 05, you are in direct violation of the law and are committing consumer fraud. This requires you to at a minimum be a properly formed entity and carry a minimum of 500k gen liab.
    Also, unless this guy has bulk mulch stored at his shop there is no way that he is even covering his costs. If he is using good quality mulch he is going to be paying $16 to $25 a yard depending on how much he buys. The customer told me he was using good quality black dyed mulch. I am thinking that the guys doesn't realize how much mulch he is going to need. He probably sees that there is some mulch already there. However, the beds need to be seriously cleaned out, the edge needs to be brought out and dug out creating more space to cover, trees and shrubs are going to be removed creating more space to be covered, and there are parts of the bed that are completely covered that he may have totally missed. Not to mention disposal costs.
    That is just the mulch side of it. The fert/weed is whole different ball game.
    I was half tempted to look and see when someone was doing work there and see if he is legit or not. I have few other accounts in the neighborhood, so I figured I could keep my eye on it. If not I could say something to him. However, I decided that my time is more valuable than to waste it worrying about someone that cut my legs from under me on a bid. Move on to the next one. It is just frustrating. Like I said this is only my second year, so I haven't had much experience with dealing with lowballers. Wifey said that we probably have ran it to it more than we realized last year. She said think about all the est. that we didn't land the job last year. It just so happens that this guy called to let us know about it.

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